Guggenheim reissued their neutral rating on shares of Snowflake (NYSE:SNOW – Free Report) in a report released on Thursday morning,Benzinga reports.
Other equities research analysts also recently issued reports about the stock. Barclays boosted their target price on shares of Snowflake from $332.00 to $384.00 and gave the stock an “equal weight” rating in a research report on Thursday. Morgan Stanley lifted their price target on Snowflake from $300.00 to $470.00 and gave the company an “overweight” rating in a research note on Thursday. Piper Sandler reissued an “overweight” rating and set a $450.00 price objective (up from $320.00) on shares of Snowflake in a report on Thursday. Bank of America increased their price objective on Snowflake from $330.00 to $395.00 and gave the stock a “buy” rating in a research note on Wednesday, August 19th. Finally, Raymond James Financial raised their target price on Snowflake from $275.00 to $425.00 and gave the company an “outperform” rating in a report on Thursday. Thirty-four research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $414.24.
Check Out Our Latest Stock Report on SNOW
Snowflake Price Performance
Snowflake (NYSE:SNOW – Get Free Report) last posted its quarterly earnings results on Wednesday, September 2nd. The company reported $0.62 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.45 by $0.17. The business had revenue of $1.55 billion during the quarter, compared to the consensus estimate of $1.48 billion. Snowflake had a negative net margin of 20.07% and a negative return on equity of 47.20%. Snowflake’s revenue was up 35.1% compared to the same quarter last year. During the same quarter last year, the firm posted $0.35 EPS. Sell-side analysts anticipate that Snowflake will post -1.8 earnings per share for the current fiscal year.
Insider Activity at Snowflake
In other Snowflake news, Director Michael L. Speiser sold 403 shares of the company’s stock in a transaction on Friday, August 7th. The stock was sold at an average price of $324.06, for a total value of $130,596.18. Following the completion of the transaction, the director owned 22,573 shares in the company, valued at $7,315,006.38. This represents a 1.75% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Frank Slootman sold 48,990 shares of the company’s stock in a transaction on Wednesday, August 19th. The shares were sold at an average price of $320.78, for a total value of $15,715,012.20. Following the completion of the transaction, the director owned 28,535 shares of the company’s stock, valued at $9,153,457.30. This trade represents a 63.19% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 1,131,160 shares of company stock valued at $317,966,701. 4.80% of the stock is owned by insiders.
Hedge Funds Weigh In On Snowflake
Hedge funds and other institutional investors have recently made changes to their positions in the stock. California State Teachers Retirement System increased its holdings in Snowflake by 25,944.6% during the second quarter. California State Teachers Retirement System now owns 127,340,602 shares of the company’s stock worth $32,408,183,000 after buying an additional 126,851,670 shares during the last quarter. Norges Bank bought a new stake in Snowflake in the fourth quarter worth about $974,091,000. Jericho Capital Asset Management L.P. bought a new stake in Snowflake in the fourth quarter worth about $345,619,000. William Blair Investment Management LLC boosted its stake in Snowflake by 159.9% in the fourth quarter. William Blair Investment Management LLC now owns 1,346,998 shares of the company’s stock valued at $295,477,000 after acquiring an additional 828,789 shares during the last quarter. Finally, Pictet Asset Management Holding SA boosted its stake in Snowflake by 44.7% in the first quarter. Pictet Asset Management Holding SA now owns 2,600,571 shares of the company’s stock valued at $392,259,000 after acquiring an additional 803,110 shares during the last quarter. 65.10% of the stock is owned by hedge funds and other institutional investors.
Key Snowflake News
Here are the key news stories impacting Snowflake this week:
- Positive Sentiment: Strong Q2 results: Snowflake reported adjusted earnings of $0.62 per share versus the $0.45 consensus estimate, while revenue increased 35.1% year over year to $1.55 billion, ahead of expectations. Product revenue rose 37% to approximately $1.49 billion. Snowflake shares surge as AI demand powers growth and lifts outlook
- Positive Sentiment: AI is accelerating demand: Management said AI-related offerings contributed about half of the recent growth acceleration. Snowflake’s CoCo coding agent added more than 2,000 accounts, supporting the view that enterprise AI workloads can increase consumption of its data platform. Analysts discuss Snowflake’s AI-driven acceleration
- Positive Sentiment: Guidance and analyst targets moved higher: Snowflake raised fiscal 2027 product-revenue guidance to $6.07 billion from $5.84 billion. UBS, Citi, JPMorgan, TD Cowen and other firms subsequently raised targets, with several reaching $450 to $500 and maintaining bullish ratings. Snowflake’s AI momentum prompts higher price targets
- Neutral Sentiment: Profit-taking after a major rally: The stock had surged more than 20% after the earnings release and reached levels near its 52-week high. The current retreat likely reflects investors locking in gains rather than a deterioration in the latest operating results.
- Negative Sentiment: Margin and valuation risks remain: Management lowered fiscal 2027 gross-margin guidance to 74% as expanding AI workloads increase costs. Snowflake also remains unprofitable under generally accepted accounting principles, while its high valuation leaves the stock vulnerable to further profit-taking if growth expectations moderate. Snowflake’s AI growth and margin outlook
- Negative Sentiment: Executive stock sale: EVP Christian Kleinerman sold 10,000 shares for approximately $3.8 million under a pre-arranged Rule 10b5-1 plan. While scheduled sales do not necessarily signal a change in business outlook, the transaction may add to short-term investor caution after the rally.
Snowflake Company Profile
Snowflake Inc is a cloud-native data platform company that provides a suite of services for storing, processing and analyzing large volumes of data. Its core offering, often described as the Snowflake Data Cloud, combines data warehousing, data lake and data sharing capabilities in a single managed service delivered across major public cloud providers. The platform is designed to support analytics, data engineering, data science and application workloads with a focus on scalability, concurrency and simplified administration.
Key products and capabilities include a multi-cluster, shared-data architecture that separates compute from storage; continuous data ingestion and streaming; support for structured and semi-structured data formats; tools for data governance, security and compliance; and developer frameworks for building data applications.
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